Economic Skills

select and use appropriate terminology

apply mathematical techniques relevant to international trade, including calculating:

• Australia’s trade intensity

• opportunity cost ratios

• balance of payments data, including balance on goods and services, income balance, current account balance

• the terms of trade index

• the exchange rate

use microeconomic models to analyse and convey economic theory and reasoning in relation to Australia’s international transactions, including:

• the Production Possibility Frontier (PPF) model

• the demand and supply model

• the theories of absolute and comparative advantage

use economic information and data to:

• identify trends and relationships in Australia’s international trade

• analyse issues and events

• make predictions on Australia’s international trade

• link economic theory to contemporary economic events and issues

• justify a conclusion

use a clear structure when communicating economic understandings, including:

• using a relevant and accurate diagram/model

• making reference to a diagram/model/data to support a written response

• providing an explanation using an appropriate example

apply problem-solving, critical thinking and decision-making strategies to predict an outcome

recommend a range of policies designed to facilitate Australia’s economic relationship with the rest of the world.